Value Pricing in Action

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Value Pricing in Action

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Research Abstract

Value pricing, defined as pricing based on the perceived value to the client, remains an elusive ideal for many services marketers. Notwithstanding years of analysis of the benefits of value pricing, few companies have institutionalized the practice. IT services providers continue to compete as though their services are commodities, focusing heavily on price and often discounting to make the sale.
This online briefing, led by Julie Schwartz, ITSMA’s vice president of research, reviewed the pros and cons of value pricing, examples of how some leading companies are implementing it, and practical recommendations on incorporating perceived value into your pricing system.